New Forex Article Explaining The 0.382 Fibonacci Ratio Used In Currency Trading Has Been Posted By 1-Forex.com

The definition of the Fibonacci sequence is that it consists of a series of numbers where each number is the sum of the two preceding numbers; 1, 1, 2, 3, 5, 8, 13 …But in the case of currency trading what is more important for the forex trader is the Fibonacci ratios derived from this sequence of numbers, i.e. .236, .50, .382, .618, etc.
These ratios are mathematical proportions prevalent in many places and structures in nature, as well as in many human made creations.
One of the widely used Fibonacci ratios is the 0.382 ratio. As it can be easily seen on any forex chart, currency prices are continually changing and they follow an oscillatory pattern with peaks and valleys. The limit of the peak is usually called a resistance level while the valley is usually called a support.
Now, knowing how to set and localize the 0.382 ratio in a forex chart is very important for the traders due to its implications as a reliable indicator of the most probable future moves and shakes of the currency markets; giving them a great advantage over other forex traders and the market itself with this “Fibonacci trick” of looking ahead in time with a high probability of being right.
Considering the wide use and acceptance of the Fibonacci ratios by the forex traders community around the world, the website www.1-forex.com has released an article indicating the operations involved in the calculation of the 0.382 ratio level in any chart you may be analyzing. This is an introductory level article that goes straight to the task of calculating the desired Fibonacci level and that will help the new trader or someone just interested about entering the world of forex trading to easily understand what experimented traders are talking about when they mention this Fibonacci ratio level in their forex charts analysis and also will give the general idea of how to calculate a Fibonacci level.